In this article
Spending made smarter
Easy-to-use cards, spend limits, approval flows, vendor payments —plus an average savings of 5%.1
4.8 Rating 4.8 rating
Error Message
No personal credit checks or founder guarantee.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Webinar: Smart ERP setups to automate expense management
Dec. 13, 1 PM EST/10 AM PST

Many businesses have gone through the ringer this year. From inflation to an unpredictable stock market, 2022 has been a whirlwind for companies of all sizes. As the year comes to an end, here are the biggest shifts that we’ve seen businesses make in their spend and what top finance leaders are predicting for next year. From ad spend taking a wallop to software going strong, we’re taking a deep dive into how companies large and small have performed, featuring Joe Garafalo of Mosaic, Joanna Coleman of Burkland Bookkeeping & Accounting Practice, Artem Mashkov of SwagUp, and Scott Orn of Kruze Consulting.

1. Larger businesses severely curtailing ad spend 

Percentage of ad spend volume is down significantly since the beginning of the year, showing how businesses are pulling back on account of current macro trends and potentially that they’re not realizing as much closed won from ad spend. 

However, while total volume is down, there are marked differences when sliced by business segment across the 30-day moving average YTD. Mid-market (-48.4%) and enterprise (-50.9%) businesses are pulling back significantly while small  (+14.5% ) and large SMBs (+21.5% ) have experienced slight upticks. 

These smaller businesses may be in stealth or growth mode, and still see value in ad spend to help ensure growth at a reasonable, sustainable rate. 

With the market downturn we’re all experiencing, it makes sense that businesses are pulling ads as a way to cut costs — especially since it’s easy to turn back on when the market turns back around. At Mosaic, we did a deep dive into the ROI of our ad spend to figure out how we could cut costs without significantly impacting growth. What we found was that while LinkedIn ads help us with brand awareness and might help mid-funnel prospects move quicker, the direct ROI was about four times lower than our Google Ads channel. We’re turning our LinkedIn ad spending down and putting more focus on PPC because the cost per click on LinkedIn is so high for the current market conditions.”-Joe Garafalo, Co-Founder and COO, Mosaic

2. Companies spending on T&E to combat WFH fatigue  

T&E has experienced steady spend volume growth. 

Businesses across every segment are increasing their spend allocation, as companies battle WFH fatigue and seek to keep employees happy despite market volatility. Whether spending on T&E for internal employees or for C-suite executives flying out to meet clientele, T&E has remained a spend priority. 

“The data on T&E spend is similar to what we’re seeing with our clients, who are allocating more funds to T&E for internal travel and team building. We don't see this trend stopping anytime soon." -Joanna Coleman, Managing Director, Burkland Bookkeeping & Accounting Practice

It’s worth noting that travel is now significantly more expensive than it was even a year ago, causing total spend to increase. For example, air fares are up 43% YoY. 

Small SMBs are leading the way (+119.5%), with large SMBs (+118.7%) and enterprise not far behind (+113.4%). Mid-market still posted a substantial increase, but lagged slightly in comparison (+91.4%). 

3. Small SMBs, large SMBs surprisingly lead charge in software spend 

Companies are still finding value in SaaS to help themselves scale amid a chaotic economy.

“Core and critical SaaS should be safe but anything redundant or ‘nice to have’ will be scrutinized. A lot of SaaS is just a Google or Microsoft feature wrapped in a nicer experience—those will be the first to go." -Artem Mashkov, CFO, SwagUp

Small and large SMBs posted substantial gains in software spend (+61.2% and +76.3%, respectively) compared to mid-market (+4.3%) and enterprise (+1.95%) companies. These smaller segments often have SaaS stacks that are a work in progress. They’re working to identify which software is the best fit for their business, and as a result have high spend as they onboard and offboard different programs. 

“Ramp’s year-end data on software spend mirrors what we’re seeing with our high-growth startup clients, who are increasing their software spend to help unlock growth opportunities amid a competitive landscape and volatile market conditions. We expect this trend to continue well into next year and beyond.”- Scott Orn, COO, Kruze Consulting.

On the other hand, larger businesses often have more stable spend, as they tend to stick with software for a longer period of time and are less prone to switching as 1) they already have a sense of what’s working for them and 2) it can be more cost and time-intensive for these bigger companies to switch. 

Ramp has never been more committed to helping companies save their most valuable resources: time and money. We’ll continue following spend trends and report them out in our next benchmark report. In the meantime, check out our most recent report here

*Small SMB 0-25 employees, Large SMB 26-75 employees, Mid-market 76-499 employees, Enterprise > 500 employees

Former Sr. Content Marketing Manager, Ramp

Prior to Ramp, Stefanie worked as a finance reporter at Institutional Investor, where she covered everything from options to pension funds. She graduated from the University of Delaware with a degree in English and a concentration in journalism and later earned an MA in education from NYU. When she isn't immersed in content and thought leadership, Stefanie loves to play any and all racquet sports.

Ramp is dedicated to helping businesses of all sizes make informed decisions. We adhere to strict editorial guidelines to ensure that our content meets and maintains our high standards.


How Alexandra Lozano Immigration Law prepared for scale with Ramp

"I used to have to call our card provider and sit on the phone for a couple hours a week, I don’t have to do that with Ramp.”
Wayne Robinson, CFO, Alexandra Lozano Immigration Law

How Ramp helped Smart City Apartment Locating save time, expedite month close, and grow sustainably

"Five to 15 hours each month of non-value-add activities are off my plate. I’m able to be a strategic advisor versus just a tactical manager when it comes to spend management.”
Dustin Walsted, VP Finance, Smart City Apartment Locating

How TaskHuman built their runway with Ramp

“I’ve pretty much seen or used everything that’s out there, everything does something Ramp does, but nothing does everything Ramp does.”
Matthew Ferguson, Controller, TaskHuman

How First Tee transformed its bookkeeping and saved time with PwC and Ramp

"The efficiency of using PwC Bookkeeping Connect, coupled with the Ramp platform, has probably been about 75% time savings. Instead of every hour I would have had to spend on bookkeeping, I’m probably having to spend maybe 10 or 15 minutes.”
Dan Burke, CEO, First Tee San Francisco

How Mix Talent cut costs, gained transparency, and improved efficiency with Ramp

"I use Ramp’s functionality to examine the contracts and understand whether we’re getting the best terms, as opposed to just trying to get the bill paid. Ramp has allowed us to project cash flow so much better."
Paul Streitenberger, Accounting & Finance Lead, Mix Talent

How The Joffrey Ballet cut their month-end close time with Ramp

“One of the things I was looking for, and which Ramp has done for me beautifully, is to consolidate credit cards, ACH payments, check payments, and reimbursements into one place and give us a full picture for insights."
Gee Hoon Lim, Director of Finance, The Joffrey Ballet

How Beyond sped up reconciliation time 8x faster with Ramp

“With Ramp we close in 5-6 days, which is pretty quick for a company with four different subsidiaries."
Jake Steele, Senior Staff Accountant, Beyond